Carlyle Said to Plan Defense Fund as Governments Hike Spending

Carlyle Group Inc. plans to launch a fund focused on the defense sector amid growing demand by governments to upgrade their military forces, according to people with knowledge of the matter.

The Washington, DC-based firm has reached out to investors to discuss the fund, pitching it as a way to invest in so-called reindustrialization, the people said, who asked not to be identified discussing confidential information. This entails expanding the US’s industrial base and manufacturing.

Carlyle hasn’t begun marketing the fund formally, nor has it communicated a target size, the people said. A representative for Carlyle declined to comment.

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